Question

What will be the total amount earned by investing $2,500 for 1.5 years, at a simple interest rate of 10% annually.?

Answer 1

The total amount earned by investing $2,500 for 1.5 years, at a simple interest rate of 10% annually is $2875.

Formula is :
F = P(1+rt), 
 F is the future value,
P is the present value,
r is the interest rate, and
t is the time in years.

F = ($2500)(1+0.1*1.5)
= ($2500)(1.15)
= $2875

Answer 2

The future value of money under simple interest is calculated using the equation: F = P(1+rt), where F is the future value, P is the present value, r is the interest rate, and t is the time in years.
F = ($2500)(1+0.1*1.5) = ($2500)(1.15) = $2875